BV Financial(BVFL) - 2025 Q3 - Quarterly Report

Financial Position - Total assets decreased by $2.4 million, or 0.27%, to $909.4 million at September 30, 2025, from $911.8 million at December 31, 2024[176]. - Total liabilities increased by $2.8 million, or 0.4%, to $719.2 million at September 30, 2025, primarily due to an increase in deposits[180]. - The total assets as of September 30, 2025, were $909,794,000, up from $890,091,000 in 2024[190]. - The total liabilities as of September 30, 2025, were $714,410,000, with equity amounting to $195,384,000[190]. Loans and Credit - Loans receivable increased by $8.3 million, or 1.1%, to $746.1 million at September 30, 2025, driven by increases in owner-occupied 1-4 loans, commercial loans, and construction loans[178]. - The allowance for credit losses decreased by $325,000 to $8.2 million at September 30, 2025, with the ratio to total loans at 1.10%[179]. - The ratio of allowance for credit losses to non-performing loans was 233.5% at September 30, 2025, compared to 212.5% at December 31, 2024[179]. - The allowance for credit losses was $8.2 million at September 30, 2025, representing 1.10% of total loans, compared to 1.15% at December 31, 2024[206][211]. - The average outstanding balance of loans for the nine months ended September 30, 2025, was $745,001,000, with interest income from loans amounting to $33,594,000[190]. - The average balance of loans increased by $52.9 million, or 7.7%, to $743.1 million for the three months ended September 30, 2025[196]. Deposits - Total deposits increased by $12.3 million, or 1.9%, to $663.8 million at September 30, 2025, with interest-bearing deposits rising by $7.3 million, or 1.4%[181]. - At September 30, 2025, the Company had $50.3 million in brokered deposits, an increase from $10.0 million at September 30, 2024[214]. - The total interest-bearing deposits increased to $523,149,000, with an average yield of 2.03% for the nine months ended September 30, 2025[190]. Income and Expenses - Net income for the three months ended September 30, 2025, was $3.7 million or $0.41 per diluted share, a decrease from $3.8 million or $0.35 per diluted share for the same period in 2024[195]. - Interest income increased by $377,000, or 3.10%, to $12.5 million for the three months ended September 30, 2025, primarily due to a $1.0 million increase in interest income on loans[196]. - Non-interest income totaled approximately $684,000 for the three months ended September 30, 2025, a slight decrease from $696,000 for the same period in 2024[207]. - Non-interest expense increased to $5.9 million for the three months ended September 30, 2025, primarily due to a $570,000 increase in compensation and benefits[208]. - The effective tax rate for the nine months ended September 30, 2025, was 26.4%, down from 27.9% for the same period in 2024[210]. Interest and Yield - For the three months ended September 30, 2025, total interest-earning assets increased to $842,475,000, generating net interest income of $9,350,000, compared to $9,303,000 in the same period of 2024[185]. - The average yield on loans for the three months ended September 30, 2025, was 6.15%, up from 6.05% in 2024, with total loans amounting to $743,119,000[185]. - Total interest-bearing liabilities increased to $560,994,000, with a net interest rate spread of 3.65% for the three months ended September 30, 2025, compared to 3.71% in 2024[185]. - For the nine months ended September 30, 2025, net interest income was $27,149,000, an increase from $26,176,000 in 2024[190]. - The average yield on interest-earning assets for the nine months ended September 30, 2025, was 5.80%, compared to 5.64% in 2024[190]. - The change in net interest income for the three months ended September 30, 2025, was $47,000, reflecting a volume increase of $289,000 and a rate decrease of $242,000[189]. - Net interest income was $9.4 million for the three months ended September 30, 2025, compared to $9.3 million for the same period in 2024, with a net interest margin of 4.40%[204]. - Interest expense increased by $330,000, or 11.6%, to $3.2 million for the three months ended September 30, 2025, driven by a 13 basis point increase in the average rate on interest-bearing deposits[198][199].